Ashwell to liquidate Shabby Chic chain

Brian Dell, left, president, and founder/designer Rachel Ashwell opening a New York store in 2002.

Los Angeles – Shabby Chic will soon begin liquidation sales, according to documents filed last week in the federal bankruptcy court here. The sale will not include intellectual property, which will remain in the hands of Shabby Chic operator Rachel Ashwell Designs, Inc.

Hilco Merchant Resources will handle sales of Shabby Chic merchandise, which does not include goods held by licensees, sublicenses and concessionaires such as Target, which offers a sub-branded home collection under the name Simply Shabby Chic.

Sales are expected to conclude in early June.

The company was founded 10 years ago and filed for Chapter 11 bankruptcy protection in late January. According to bankruptcy court filings, Shabby Chic operated eight stores, a distribution center and a manufacturing center. With the exception of two New York stores, all other locations were in California.